Literature review on financial crisis and capital market

Transactional efficiency is concerned with the costs and risks of exchange of economic resources i. In addition, all assets are perfectly divisible. Nationalization of SBI subsidiaries.

The main objective of co-operative banks is to provide credit facilities to the poor people that are to small and marginal farmers and other weaker sections. As per directions of the Registrar, the board will get sitting fees and the President will get honorarium.

Conclusion The study has covered the major aspects that are involved on the reactions of the capital markets upon financial reporting.

First on the list is the existence of voluntary and involuntary sections, M. The workshop also discussed the way of loan documentation and its monitoring, classification, reporting and recovery system. But current liabilities are not increased that much.

Most of the items show an upward trend when compared to base year. There are no transaction costs or restrictions on trade. With the integration of Indian financial sector with the rest of the world, the concept of banks 2 and banking has undergone a paradigm shift. The equation for inventory turnover equals the cost of goods sold divided by the average inventory.

Financial instruments allow many forms of securitized assets to be traded on securities exchanges such as stock exchanges, including debt such as bonds as well as equity in publicly traded corporations.

Generally a ratio of 0. Gross profit is a company's residual profit after selling a product or service and deducting the cost associated with its production and sale. The abnormal returns generated from such information might not be worth the cost and time of individual investors, but could be more valuable of large institutional investors who are able to reduce their cost of information through voluminous trading transactions.

Alternatively, the current price is a sufficient statistic for the next-period expected price in the sense that the latter is equal to the former compounded at a rate that is independent of the realization of the information available.

Since, the principals owners have delegated part of their decision making to the directors of the company, they appoint auditors since they do not fully trust that the agents will fully implement their interests in running of the company.

These empirical papers have often preceded the formal development of any adequate theoretical statement of information efficiency. The country is flooded with foreign banks and their ATM stations. It was the effort of the then City Minister of India, Mrs. This ratio shows the margin left after meeting manufacturing costs.

Reserve Bank of India came in This is particularly important if the company chooses to extend some type of credit line or revolving credit to certain customers. There are exceptions or anomalies to empirical findings: Market equilibrium is expressed in terms of expected returns.The global financial crisis of and the subsequent global recession highlighted the interplay this literature review uses the term “capital ratio” to indicate risk-weighted capital Literature Review on the Macroeconomic Impacts of Capital Requirements.

Literature Review. The Indian capital market, for equity and corporate debt, also dates back to colonial period with the establishment of the first stock market in India in Bombay in financial crisis of – revealed rampant fraud in the mortgage industry, Ponzi conduct that occurs in the financial markets includes behavior as diverse as financial fraud, insider trading, market manipulation, bribery, self-dealing, and the facilitation Financial Fraud: A Literature Review.

Literature reviews occur in a two-fold manner; theoretical literature review and empirical literature review. The aim of this research was to carry out a comparative study of the capital markets reactions to financial reporting.

Research Note 02/ 8 June CONTAGION OF FINANCIAL CRISES: A LITERATURE REVIEW OF THEORETICAL AND EMPIRICAL FRAMEWORKS Prepared by Lillian Cheung, Chi-sang Tam and Jessica Szeto Research Department Abstract The timing and virulence of the current global financial crisis do not seem to be.

Theory of Capital Markets Fall Theory of Capital Markets: A Review of Literature Worapot Ongkrutaraksa, Ph.D. Abstract The main purpose of this essay is to revisit the relevant theory and evidence regarding the informationally efficient capital markets.